Topic 4 Practice Test

Front

What is a budget?

Back

A budget is a plan that outlines how much money is available to spend and how it will be allocated to different expenses.

Front

How do you calculate the total cost of tickets for a class trip?

Back

Multiply the number of students by the cost per ticket. For example, if there are 50 students and each ticket costs $12.75, the total cost is 50 x $12.75 = $637.50.

Front

If Mr. Daniels has a budget of $300, how many students can go on a trip if tickets cost $12.75 each?

Back

To find out how many students can go, divide the budget by the cost per ticket: $300 ÷ $12.75 ≈ 23.53. Since only whole students can go, 23 students can attend.

Front

What does it mean if a budget is exceeded?

Back

It means that the total expenses are greater than the amount of money available to spend.

Front

What is the importance of budgeting for a class trip?

Back

Budgeting helps ensure that there is enough money to cover all expenses and prevents overspending.

Front

What is a unit rate?

Back

A unit rate is a comparison of two different quantities where one of the quantities is expressed as a quantity of one.

Front

How do you find the unit rate of ticket costs?

Back

The unit rate of ticket costs is the cost per student, which is $12.75 per student.

Front

What is the formula for calculating total expenses?

Back

Total Expenses = Number of Items x Cost per Item.

Front

If Mr. Daniels can only afford 23 tickets, how much money will he spend?

Back

23 tickets x $12.75 per ticket = $293.25.

Front

What is the difference between fixed costs and variable costs?

Back

Fixed costs do not change with the level of output (e.g., venue rental), while variable costs change with the level of output (e.g., ticket costs).